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How to Help Your Clients Understand New Jersey Workers’ Comp Law

How to Help Your Clients Understand New Jersey Workers Comp LawHow to Help Your Clients Understand New Jersey Workers’ Comp Law

According to a RIMS Benchmark Survey, as of 2009, 86% of companies had a “return to work” program, allowing injured employees to return to work with no penalties once their New Jersey Workers’ Comp leave was over. If your client has a return to work program at their company, that employer should maintain frequent contact with the injured employee to monitor their healing process. By doing so, the employer will be able to gauge when the injured employee will be able to being the return to work program. These programs reduce the number of lost work days for just about every employee involved, and reduce your client’s future increases in New Jersey Workers’ Comp insurance or disability insurance.

While a return to work program is not a requirement with New Jersey Workers’ Comp law, it is typically in the best interest of the employer to implement it. There is a common misconception amongst smaller companies that setting up a return to work program will require too much effort for the few injuries that occur each year, but as discussed above, this is simply not true. Using a return to work program makes sense for your client from a financial standpoint.

Another misconception that many employers have is that their employee can sue them if injured on the job. Because of New Jersey Workers’ Comp law, employees’ rights are limited to those within the workers compensation act. In exchange for the no-fault rights contained with the act, your client is granted immunity from a lawsuit or negligent. So even if your client was grossly negligent, they cannot be sued. The employee can, however, sue a third culpable third party.

The most important thing for your clients to remember about New Jersey Workers’ Comp law is that all New Jersey employers that are not covered by Federal programs must have Workers’ Compensation coverage or be approved for self-insurance. Even out-of-state employers may need New Jersey Workers’ Compensation coverage if a contract of employment is entered into in New Jersey or if any work is performed in the state.

To learn more about how New Jersey Workers’ Compensation Law, please contact us at (866) 679-7457. Insurance agents and brokers with access to competitive markets have the opportunity to leverage an improving economy set to spur the workers compensation industry with an increase in jobs and payroll exposure, all while capitalizing on the ability to secure coverage for their clients in various industries.

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